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PRESS RELEASE October 29, 2007

EQUITY DIDN'T GO UP IN FLAMES!
This last week we suffered some devastating loses in Southern California because of the wildfires. Just think if you had an 86 year-old loved one, retired, living alone, in bad health whose sole asset was his home and he was told to evacuate to a nursing home for his safety.

Also imagine that in order to enjoy what years he had left to live, that his home was his only asset, what a terrible tragedy it would be if he lost his home to fire or the ability to tap his equity for an emergency loan.

This was the scenario that happened last week to one of our senior clients in Vista, California. Because we had just completed the process of obtaining a Reverse Mortgage for this client and it had funded on Tuesday, October 23rd, this client had the bulk of his equity in the form of cash in the bank instead of tied up in his home. With medical bills to be paid, caregivers to be paid, how fortunate we were to have planned this financial transaction ahead of an emergency.

It is extremely difficult on our seniors when they don't have any living children or a spouse to help them with these kinds of decisions, but together with his caregivers, we were able to put together a plan months ago to convert his equity into cash for medical care expenses and emergencies. When we started this process, a fire was the furthest thing on our mind, but his financial well being had to be managed just in case some extraordinary event did happen and it did.

He didn't loose his home to the fire, he was able to return home from the nursing home but now he has the financial security he deserves after years of hard work. We at MyBlackJacket.com are proud that the trust was there to let us help him through this potential tragedy. Right now, lenders are not funding loans until they can verify that their Collateral is still there, but this client needed funds for his current health care needs and can't afford to have his finances tied up because of a fire.

MyBLACKJACKET.COM based in Orange County and owner, Ernie Casarez of Ladera Ranch are in the business of helping clients diversify their finances, including their home equity to make sure there is a safety net for emergencies.

Home Loans Bring Would-be Homeowners Closer to their Goal
( Forbes.com quick notes on Home Loans )

If you’re looking to buy a house, it’s unlikely that, in today’s economy, you’ll be able to pay in full up front. That’s why home loans exist – to aid aspiring homeowners in acquiring and financing the homes they’ve dreamed of – without bankrupting them in the process. Home loans can be acquired through banks and home loan companies. Either route you take, you’re entitled to personal service by a representative who will review your finances, credit report, and help you decide which is the best home loan solution for your needs. In order to gather all the information they need, the bank or loan company will re-appraise the market value of your house to determine the proper loan amount. You will then work together to go over the different loan options available and determine which is best for your personal situation.

Different Home Loans for Different Folks

There are two main types of home loans, each with its own advantages. Fixed-rate loans divide the amount to be repaid over a set number of years. “Fixed rate” means that no matter how the interest rate fluctuates over the years, the amount of payment will remain the same. If the interest rate dips, your mortgage consultant will help you refinance to take advantage of the lower rate. In contrast, adjustable rate mortgages (Arms) are dependent on the fluctuation of the interest rate over time. When the rate is low, payments are low, but when interest rates are high, the payment increases also. Arms are slightly easier to qualify for than fixed-rate loans, but they also carry more risks.

When you are choosing a home loans company, take into consideration the additional “home loan origination fee” (usually 1% of the total amount borrow, so if you borrow $100,000, the fee is $100), as well as closing, settlement and appraisal fees. Most companies will allow you to “roll” these fees into your home loan, an excellent option that allows you to pay them over time if you don’t have the funds to pay up front. When you’re ready to move forward with a home loan, or if you’d just like to start exploring your options, call MYBLACKJACKET.COM at (949) 481-9026 to help you design your own loan and explain which home loans might be best for you.

(From: Credit Demystified )
Whether you are buying a home or refinancing, there are 3 basic types of home loans, they are:

Fixed Rate Mortgages
Adjustable Rate Mortgages
Combination Rate Mortgages

Each has different reasons why you might choose them, read on for more information about home loans.

Fixed Rate Mortgage

Fixed rate mortgages usually have terms lasting 15 or 30 years. Throughout those years, the interest rate and monthly payments remain the same. Fixed rate mortgages typically have interest rates that are initially higher than adjustable rate loans. The higher rate means you’ll make higher monthly payments. It may also mean you will need to make a bigger down payment in order to be approved for a fixed rate loan.

Fixed Rate Mortgage Mysteries Revealed

Experts say that if you plan to live in your home for more than 5 years, a fixed rate loan is a very good idea. They reason that if interest rates rise, the monthly payment on a fixed rate loan becomes lower than the payment on an adjustable rate loan.

But what if interest rates are lower in a few years? Like any mortgage, you may be able to refinance your fixed rate loan during times when interest rates drop. Be aware, however, your ability to refinance does depend on:

The amount of equity you have in your home
The property’s market value
Your finances at the time

Reasons to Consider a Fixed Rate Mortgage:

If you plan to live in the home more than 5 years
If you like the stability of a fixed principal/interest payment
If you don’t want to run the risk of future monthly payment increases
If you think your income and spending will stay the same

Adjustable Rate Mortgage

Adjustable Rate Mortgages (often called Arms) typically last for 15 or 30 years. But during those years, the interest rate on the loan may go up or down. Monthly payments can therefore increase or decrease.

Adjustable Rate Mortgages Defined

With an ARM comes several benefits that make your mortgage more affordable. The initial interest rate on these loans is typically lower than a fixed rate mortgage. That means monthly payments are also lower.

The lower monthly payments make it easier to get approved for an ARM. And, typically you can borrower higher amounts. This may be good news if you are:

Buying a home for the first time
Moving up to a more expensive home
Refinancing
Looking for a way to consolidate debt
Planning on making an investment for which you need cash now

However, the lower rates and lower payments can change. Each ARM includes an agreement